Strategy Analytics: HDTV and DVRs transform IPTV set-top box market.(MARKET INTELLIGENCE)

Wireless Satellite and Broadcasting Newsletter, May, 2007

Worldwide sales of IPTV set-top boxes will soar to 7.9 million units in 2007, a growth rate of 111 percent, according to Strategy Analytics, the global research and consulting company.

This report, "IPTV Set-Tops: SD, HD and DVR--Global Market Forecast," predicts that more than 3 million HD-enabled IPTV set-top boxes will be sold in Europe alone this year as operators make the switch to H.264 technology.

The share of DVRs (digital video recorders) is also growing rapidly, rising to 29 percent of the global market this year from 15 percent in 2006, as IPTV newcomers seek to compete with satellite and cable incumbents.

"In our view, any IPTV system that does not have, or is not planning for, HDTV upgrades will not be competitive in the long...

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